Caught again!

Hi
My problem is that I always open Peerblock before downloading (via Utorrent). I have updates checked to download every day and it (Peerblock) does not start up when my PC starts. Otherwise I use all the default settings. I have 'again' received the following email (attached) that I am infringing copyright! I think my ISP will cut off my account as this is my 4th warning. What am I doing wrong? Thanks.